What to expect in global markets: inflation data, earnings, and key reports
This week, global markets will focus on key economic data, inflation indicators, and corporate earnings reports. Highlighted events include the release of the Personal Consumption Expenditures (PCE) inflation data, revisions to US GDP, updates on consumer confidence, housing data, and earnings from major global companies such as Nvidia, Salesforce, Lowe's, and Home Depot.
Wednesday will see Nvidia's earnings report, its first since challenges from China's DeepSeek, a tech company whose AI model raised concerns about AI development costs. Other significant reports will come from Salesforce, Lowe's, Home Depot, and Stellantis, all major players in their sectors.
On Friday, the PCE index will offer a critical measure of inflation, which the US. Federal Reserve is watching closely as it looks for signs of inflationary trends before making any further interest rate decisions. Market participants will also focus on GDP data, housing market updates, and the U.S. trade balance.
Key Events This Week:
Monday, Feb. 24
Earnings from Oneok (OKE) and Public Storage (PSA)
Tuesday, Feb. 25
FHFA House Price Index (Q4 2024)
S&P Case-Shiller Home Price Index (December)
Consumer Confidence (February)
Remarks by Dallas Fed President Lorie Logan and Richmond Fed President Tom Barkin
Earnings reports from Home Depot, Intuit, Bank of Montreal, and others
Wednesday, Feb. 26
New Home Sales (January)
Atlanta Fed President Raphael Bostic to speak
Earnings from Nvidia, Salesforce, Lowe's, Stellantis, and more
Thursday, Feb. 27
Initial Jobless Claims (Week ending Feb. 22)
Durable Goods Orders (January)
Revised GDP Data (Q4)
Pending Home Sales (January)
Remarks from Cleveland Fed President Beth Hammack and Philadelphia Fed President Patrick Harker
Earnings from Dell Technologies, Autodesk, and others
Friday, Feb. 28
PCE Price Index (January)
Advance Trade Balance (January)
Chicago Business Barometer (February)
Remarks from Chicago Fed President Austan Goolsbee
PCE Inflation and GDP Data in Focus
The PCE inflation data, scheduled for Friday, will provide a clearer picture of inflation's trajectory. The Federal Reserve is monitoring this data closely, as higher-than-expected inflation has impacted economic policies in recent months. The consumer confidence report on Tuesday will also provide valuable insight into public sentiment regarding inflation, a key factor in future price increases.
Revisions to US GDP data on Thursday will provide further clarity on economic growth in the fourth quarter. The initial report showed a 2.3% annual growth rate, slightly below expectations, and investors will be looking for any revisions that may affect economic outlooks.
Earnings Reports from Major Companies
Earnings reports from top companies will provide crucial insights into the performance of different sectors. Nvidia, which has seen significant growth in its data center division, will be one of the most watched, as it faces pressure from challenges in AI technology development. Salesforce is also expected to report strong earnings, benefiting from its cloud services and AI-driven products.
Retailers like Home Depot and Lowe's will be in the spotlight this week, as analysts gauge the impact of a slowing housing market on consumer spending. The earnings report from Stellantis, the parent company of Jeep, will be closely watched after a drop in vehicle shipments in recent months.
Additionally, luxury electric vehicle maker Lucid Group is expected to report earnings, while several Canadian banks, including Royal Bank of Canada and Toronto Dominion Bank, will also release their financial results.
Housing Market Data
Key housing data will be released throughout the week, with updates on home prices, new home sales, and pending home sales. These reports will provide further insights into the state of the housing market, which remains under pressure due to rising interest rates and inflation.
This week's combination of inflation data, earnings reports, and economic indicators will be crucial for investors as they navigate ongoing uncertainties in the global economy.
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